Mitsui O.S.K. Lines, Ltd. makes strategic investment in Ascension Clean Energy
MOL Clean Energy, US, LLC, a 100% subsidiary of Mitsui O.S.K. Lines, Ltd., and Clean Hydrogen Works, LLC today announce MCE as a Joint Venture shareholder in Ascension Clean Energy, a proposed world-scale, clean hydrogen-ammonia production and export facility in Ascension Parish, Louisiana. Other shareholders are CHW, Denbury Carbon Solutions., a world-leading carbon solutions provider with more than two decades of successfully managing carbon dioxide, and Hafnia, one of the world's leading oil product tanker owners and operators.
Expected to produce 7.2 million metric tons of clean hydrogen-ammonia annually, ACE will help meet the rapidly emerging demand for affordable, secure, and low-carbon fuels and feedstock around the world. This clean energy will help decarbonize hard-to-abate sectors including power generation, bunker fuel, heavy transportation, steel processing and industrial applications.
"Clean hydrogen-ammonia is critical to decarbonizing the global energy market," said Tomoaki Ichida, CEO, MCE, "With this innovative project, MOL is investing not only for our future growth, but also helping promote the development and adoption of clean hydrogen-ammonia within our fleet and customer base," Ichida added.
As one of the world's largest shipping companies, MOL is well-positioned to help develop safe, sustainable, and efficient solutions to ship ACE's clean hydrogen-ammonia to emerging clean energy markets across the globe.
With a projected investment of $7.5 B, ACE is expected to generate approximately 1,500 construction jobs over five years and 350 permanent, full-time jobs with an annual average wage of more than $116,000, once fully operational. ACE is expected to create an additional 626 jobs in Ascension Parish, along with nearly $2.2 B in new sales in firms across Louisiana. The project provides an opportunity for local residents to be at the forefront of the clean energy transition and project shareholders are committed to working with the community and education leaders to provide pathways to additional training in support of these new job opportunities for the local workforce.
"With the rapidly evolving macro-environment, the world's net zero goals must be increasingly coupled with affordability and security of energy supply," said Mitch Silver, CHW Senior Vice President and Chief Operating Officer, "MOL's practical yet visionary approach to decarbonization will add critical capabilities and insights to support ACE in delivering on its mission to provide customers with affordable and large-scale clean energy solutions."
ACE is committed to achieving among the world's lowest lifecycle carbon intensity by capturing up to 98 percent of CO2 emissions from its processes, as well as actively managing upstream CO2 and methane emissions. Helping reduce the world's carbon footprint is a critical component in protecting our environment for future generations.
Project shareholders are committed to transparency and open, two-way communication with ACE stakeholders throughout this process and will work collaboratively to develop a project of which both the company and community can be proud.
Comments